How to Build your Management Team

When you begin your own business, you are the centre of all decisions regarding the way your company functions. But as your business grows you will no longer be able to handle all the decisions personally, you will have to learn to delegate and take a step back from the operational aspects of your business. For this you will need to build a sound management team. Here are a couple of factors to keep in mind while building your team: • Review the past performance of your company, chart your desired future course and determine what managerial skills are most required for progress • Take note of your current staff performances- do they exhibit signs of leadership or of being able to grow into a leadership role. Generally, it is better to promote from within as these individuals will understand your business on the ground level, have the respect of your employees and be considerably less expensive than an outside hire • If you do find potential management candidates in your current set of employees, train them to become part of your future team and give them a chance to lead by putting them in charge of certain projects before promoting them • Evaluate your hiring processes. Ensure that your hiring practices not only looks at the current gaps or tasks at hand but also keeps an eye on candidates who can be instrumental in the future success of your company Once you have explored these areas, these are the broad categories where your business must find the appropriate managers: 1. Sales: At the end of the day, sales is the most important element in the growth of your business. Many small businesses, in fact fail to succeed because they are too reliant on the business owner for the bulk of sales. This is the first managerial role you should seek to fill. Ensure that you find an individual who is charismatic and is able to build and motivate a sales team. 2. Hiring a CFO: The role of the Chief Financial Officer has changed dramatically over the years from a position that purely overlooked company finances to one that works in partnership with the CEO on strategy. A CFO especially one that is fluent with the latest technology can be an indispensible asset in the growth of your company. 3. Marketing: More and more small businesses are realizing that it is crucial to get the word out about their services. While marketing is necessary to make your brand known to larger audience, this is one department that is most often neglected in a small business. Customer service and word of mouth marketing can only take your business so far, you will find that as it grows, you will need to take a more professional approach to marketing and perhaps outsource the functions of both traditional and online marketing to outside agencies. But here is where you will need an internal head to steer your marketing endeavors. 4. Chief Executive Officer: While most owners occupy the role of CEO, some find it liberating to leave the daily operations of your organization to a hired CEO. This could be someone who has been with your company for a long time or an outside hire. This will give you more time to think creatively and focus on the bigger picture when it comes to the future of your organization. While these can be large steps for a Small Business Owner, remember these are essential to grow your business from a Small Business or Startup to one that employs a large number of people and has more than one location.

Information may be abridged and therefore incomplete. This document/information does not constitute, and should not be considered a substitute for, legal or financial advice. Each financial situation is different, the advice provided is intended to be general. Please contact your financial or legal advisors for information specific to your situation.